Add in that the latest release of Android has enabled multi-user support, and it looks like we’re definitely getting close.

I think to really replace the desktop, a phone OS will need an actual Desktop Environment with a window manager that it can switch to. Some tasks just require being able to run multiple programs in separate windows simultaneously. It will also need a native office suite that is both good quality and MS Office compatible (or the ability to run MS Office, but that’s not very likely for non-Windows-based phones, I think).

Motorola’s Webtop looks like it was a good start, but it apparently had issues beyond the price. Hopefully, it won’t die and will be brought to a new phone line with a processor that can handle it.